澳客网比分直播手机版 www.2v4ox.com.cn 1 Adjusted EBITDA is an Alternative Performance Measure (APM) that reflects continuing operations.
2) Underlying business is defined in this press release as the performance measures sales and adjusted EBITDA, corrected for DSM’s best estimate of the vitamin effect, which is expected to be temporary.

CEO statement

Feike Sijbesma, CEO/Chairman DSM Managing Board, commented: “We are very pleased that the strong underlying performance of our business continues, with growth well above market. In addition, we are currently benefitting from substantially higher prices in some vitamins due to exceptional supply disruptions in the industry, which are expected to be temporary and heavily weighted towards the first half of the year. These two combined resulted in a significantly higher outlook for the full year 2018, which we announced with our preliminary Q1 2018 results on 12 April 2018.”

Outlook 2018

DSM confirms its increased full year outlook 2018, as announced on 12 April 2018, and expects an Adjusted EBITDA growth towards 25% and a related higher ROCE growth. This is based on:

a low double-digit Adjusted EBITDA growth in the underlying business at constant currencies,

a negative foreign exchange effect on Adjusted EBITDA of about €80 million, and

an additional Adjusted EBITDA benefit estimated at €250 – 300 million from an exceptional vitamin pricing environment, that is expected to be temporary and heavily weighted towards the first half of the year

In this report:
‘Organic sales growth’ is the total impact of volume and price/mix;
‘Total Working Capital’ refers to the total of ‘Operating Working Capital’ and ‘non-Operating Working Capital’

Review by Cluster

Nutrition

Underlying business

in € million

YTD Q1 2018

YTD Q1 2017

% change

Q1 2018

Q1 2017

% change

Sales

1,430

1,398

2%

1,430

1,398

2%

Adjusted EBITDA

277

257

8%

277

257

8%

Adjusted EBITDA margin (%)

19.4%

18.4%

19.4%

18.4%

ROCE (%)

15.3%

13.3%

15.3%

13.3%

Temporary vitamin effect

in € million (estimated)

YTD Q1 2018

Q1 2018

Sales

220

220

Adjusted EBITDA

165

165

Total cluster

in € million

YTD Q1 2018

YTD Q1 2017

% change

Q1 2018

Q1 2017

% change

Sales

1,650

1,398

18%

1,650

1,398

18%

Adjusted EBITDA

442

257

72%

442

257

72%

Adjusted EBITDA margin (%)

26.8%

18.4%

26.8%

18.4%

Adjusted EBIT

370

185

100%

370

185

100%

Capital Employed

5,406

5,555

Average Capital Employed

5,413

5,546

ROCE (%)

27.4%

13.3%

Total Working Capital

1,434

1,500

Average Total Working Capital as % of Sales

22.8%

27.2%

Sales development (underlying business)

Nutrition continues to outperform its Strategy 2018 aspirations with ongoing strong momentum in its underlying business, delivering clearly above-market growth with an increasingly higher-value portfolio of feed and food solutions.

Q1 2018 organic sales growth in the underlying Nutrition business was an estimated 12%, driven by continued strong volume growth of 8%, well above market. Higher prices in the quarter of 4% partly off-set the 11% negative foreign currency effects and higher input costs.

In Q1 2018 DSM deconsolidated the Yantai Andre Pectin business, per 1 January, following developments early January after the refusal of the other shareholders to transfer their shares to DSM despite an earlier agreement. The effect of this deconsolidation on the sales of Nutrition was more than compensated by sales from businesses acquired in 2017.

Temporary vitamin effect

In addition, due to the exceptional supply disruptions in the industry, the first quarter also benefited from an estimated €220 million additional sales effect and an estimated €165 million additional Adjusted EBITDA contribution from an exceptional vitamin price environment, which is expected to be temporary and heavily weighted towards the first half of the year. This temporary vitamin price effect is mainly related to animal nutrition.

Animal Nutrition & Health (underlying business)

Sales development

Q1 2018 organic sales growth in the underlying business was an estimated 18%. Volumes were up 13% mainly due to very strong premix sales. All regions delivered strong underlying volume growth, particularly North America and Asia Pacific. Furthermore, increased focus from customers on security of supply was noticed, amongst others driven by the ‘Blue Skies policies’ in China (relating to the significantly stricter enforcement of environmental regulations). Finally, in the quarter the volume growth benefitted from the introduction of reformulated forms due to new European regulations, with sales in the order of €15-20 million.

The 5% higher prices in the quarter were driven by price initiatives to mitigate higher input costs and the impact of negative exchange rate developments, led by the weaker US dollar and the Brazilian real. Furthermore, prices were supported by the effects of ‘Blue Skies policies’.

Human Nutrition & Health (underlying business)

Sales development

Q1 2018 organic sales growth in the underlying business was an estimated 8%. Volumes were up 5%, with good growth across all regions and market segments, well above the market. Volume growth was specifically strong in premix sales as well as in the i-Health business.

Prices were up 3% resulting from a combination of a favorable mix due to strong growth in premix and i-Health, as well as benefits from higher prices for premix and advanced formulations, supported by the effects of the ‘Blue Skies policies’ in China. Exchange rates had a 11% negative impact in Q1 2018, led by the weaker US dollar.

Food Specialties

Q1 2018 sales volumes were stable as growth in especially enzymes was off-set by lower volumes in savory due to production interruptions.

DSM Engineering Plastics continued to successfully shift its portfolio toward higher-value, sustainable, specialty materials for the electrics & electronics and automotive industries. Strong growth was supported by the launch of new applications, as well as clean energy initiatives.

DSM Resins & Functional Materials showed strong growth in specialty resins and functional materials. Growth was supported by continued healthy demand from global building & construction markets as well as strong demand in China for environmentally-friendly specialty resins solutions.

DSM Dyneema delivered good growth in personal protection, commercial marine as well as high-performance textiles.

Innovation Center

in € million

YTD Q1 2018

YTD Q1 2017

% change

Q1 2018

Q1 2017

% change

Sales

36

43

-16%

36

43

-16%

Adjusted EBITDA

-1

1

-1

1

Adjusted EBIT

-6

-5

-6

-5

Capital Employed

553

602

Q1 2018 sales were impacted by significant negative foreign currency effects as several businesses are predominantly in US dollars. Volumes were up, but prices were overall down largely due to sales mix effects in Biomedical. Q1 Adjusted EBITDA was impacted by the negative currency effects and higher costs due to the timing of R&D activities.

1) www.2v4ox.com.cnpleted the divestment of its share in Patheon on 29 August 2017.
2) DSM does not recognize losses below zero equity value as DSM has no obligation to fund beyond its net interest.

Condensed Cash Flow Statement and (Operating) Working Capital

in € million

YTD Q1 2018

YTD Q1 2017

Q1 2018

Q1 2017

Cash provided by Operating Activities

310

196

310

196

Operating Working Capital

2,117

2,057

Operating Working Capital as % of Sales

21.7%

23.8%

Total Working Capital

1,616

1,574

Total Working Capital as % of Sales

16.6%

18.2%

Cash flow from operating activities amounted to €310 million in Q1 2018 showing an improvement of €114 million (+58%) compared to Q1 2017. Included in this figure is a cash outflow from changes in working capital of €233 million (Q1 2017 €109 million) related to higher sales.

Total Working Capital amounted to €1,616 million at the end of Q1 2018 compared to €1,574 million at the end of Q1 2017. Working capital as a percentage of sales amounted to 16.6%, being an improvement of 1.6% compared to Q1 2017 and well ahead of our aspiration of lower than 20%. Working capital at year-end 2017 amounted to €1,499 million, being 17.2% as a percentage of sales.